SingPost reports fiscal 2H net profit nearly tripled

Singapore Post (SingPost) delivery truckSingapore Post (SingPost) delivery truck

Singapore Post (SingPost) reported Friday its fiscal second half net profit jumped 188 percent on-year to S$48.06 million on contributions from the FMH acquisition.

Revenue for the six months ended 31 March grew 34 percent on-year to S$934.19 million, the postal and logistics company said in a filing to SGX.

In the logistics segment, revenue increased around 90 percent on-year in the fiscal second half due to the acquisition of a majority stake in FMH in November 2021, SingPost said, noting FMH was previously an associate company.

“We continue to see recovery for the second half of the year, as many parts of the world have now relaxed pandemic restrictions and embrace an endemic Covid-19. Our investment in FMH has contributed significantly to the group’s revenue. As we continue to integrate our operations and build end-to-end capabilities, this positions us well in the Australia logistics market,” Vincent Phang, CEO of SingPost, said in the statement.

The increase came despite a decline in revenue from the post and parcel segment due to Covid-related disruptions to air freight capacity, which hurt volumes, SingPost said.

For the full fiscal year, SingPost reported net profit increased 74.5 percent on-year to S$83.11 million, while revenue grew 18.6 percent on-year to S$1.67 billion.

SingPost proposed a final dividend of 1.3 Singapore cents a share, bringing the annual dividend to 1.8 Singapore cents a share. In the previous fiscal year, SingPost declared a 0.6 Singapore cent final dividend, for a total of 1.1 Singapore cents a share.